BEST PRACTICES MATRIX
Managing Inventories and Material Deliveries

High USAGE Percentage of companies that use a practice Low

Quadrant IV Quadrant III Expected Use temporary workers as a means to recruit and evaluate full-time employee candidates Proven Schedule inbound shipments from suppliers Use temporary workers ( not company employees ) in warehouse during peak periods to supplement full time workforce Quadrant I Quadrant II Innovative Use bar code scanning in warehousing and delivery function Primarily use automated picking equipment to pick orders Primarily use batch pick with automatic sort systems to pick orders Primarily use Automated Storage & Retrieval Systems - ASRS Have just-in-time as the driving force for making warehouse / delivery investments Have a portion of stock as supplier-managed inventories Require inbound shipments to be "freight collect" Co-locate warehouse / package service hubs Use load planning software for truck loading Measure total deliver cost per delivery Schedule deliveries using automated truck routing software Measure GMROI / Turn & Earn measured on individual SKUs Measure GMROI / Turn & Earn measured for key suppliers Measure GMROI / Turn & Earn based on total inventories GMROI / Turn & Earn measured in aggregate and for specific product lines Use multiple shifts in the warehouse Differentiated Integrated supply or systems contracts with significant portion of customers Require strict adherence to inbound shipments schedule GAP High Degree to which the percentage of high-ROTA firms using a practice exceeds the percentage of all companies using it Low